SSTI Digest

With energy demand and affordability dominant topics in the economic development and election space of many states, a new 50 States of Energy Affordability report from the N.C. Clean Energy Technology Center (NCCETC) is timely. A second in a new series, the quarterly report tracks 334 actions taken across 42 states, the District of Columbia, and Puerto Rico to address rising electricity costs since June 2026. Whether establishing new guidelines for utility profit-making, creating new metrics to track how utilities meet affordability targets, or requiring utilities better use existing grid resources, most states  continue efforts to rein in costs through broad policy pushes. 

In a new twist on federal support for rural areas, the Rural Business Cooperative Service within the USDA has issued a final rule in the Federal Register that the Rural Energy for America Program (REAP) will now only compensate projects already “fully built and operational before the applicant ever applies. Applicants then apply, submitting actual energy production or savings data for the prior 12 months, alongside 12 months of pre-installation data.” 

Once viewed primarily as an economic development issue, data center growth has emerged as a major policy platform in this year's gubernatorial contests, with candidates from both parties advancing policies that place varying limits and regulations on data center development. And as the November elections approach, candidates continue revise their data center positions.

The cost of living is one of the dominant themes likely influencing voter decisions in this fall’s election, so it may come as little surprise for readers to learn that various states are depending on the ballot to answer some tough questions. Voters' answers to these questions could shape state tax policy and budgets for years to come.

The Oregon Mass Timber Coalition (the Coalition) received a $41.4 million grant from the U.S. Economic Development Administration’s Build Back Better Regional Challenge in September 2022 to implement a comprehensive strategy for expanding the use of mass timber sourced and manufactured in Oregon in the construction market.

During a fireside chat at the North America Climate Summit on Sept. 22, California Gov. Gavin Newsom and Washington Gov. Bob Ferguson announced that their states have reached an agreement with Quebec to link their carbon markets, eventually allowing the participating signatories to buy, sell, and trade carbon credits to offset greenhouse gas emissions. The announcement also marks the official start of California’s rulemaking process to implement the agreement, which regulators expect to finalize sometime next year.

What do turfgrass and grapes have in common? Both are high-volume, high-value crops. And, as field trials by the Pacific Kelp Company are proving, both could also benefit from the nutrients in liquefied kelp extract, a biostimulant product that also could help boost the sales of Alaska kelp with adoption of broader applications. 

Alaska kelp farming got its start in 2017 but remained a minor player in the overall Alaska mariculture economy. In 2022, however, the Alaska kelp industry got a significant boost: Southeast Conference was awarded a $49 million U.S. Economic Development Administration (EDA) Build Back Better Regional Challenge (BBBRC) grant to grow the kelp and oyster industries in Alaska. 

Around the turn of the century, a sizable number of states began asking a practical question: How well were they positioned to compete in an economy increasingly shaped by science and technology? Innovation indices offered a way to answer this question.

This year's gubernatorial elections will do more than determine who occupies governors' offices across the country. They will help shape how states, administrations, and voters navigate a shifting federal landscape and pursue policies designed to advance state priorities, address emerging challenges, and redefine state-federal relationships.

The Communities of Practice for Building Better Regions and Tech Hubs gathered in Tulsa, Oklahoma in early September for a convening that showcased Tulsa’s work and gave participants a chance to learn from each other during workshops and breakout sessions. Committed to strengthening their regional economies through strategic focus and aligned action fueled by multi-sector partnerships and historic investments from the Economic Development Administration, these communities have adapted the practice of economic development to address national priorities and tackle regional economic challenges. These in-person convenings have become important opportunities for Communities of Practice (CoP) participants to step back from their daily grind and think through strategic and tactical opportunities and challenges with their peers from across the country.  

There have been recurring concerns about the status and approach to federal research spending over the past 18 months. The National Science Foundation (NSF) has begun answering some of the questions raiseed, announcing its new approach to allocating research funding in an open letter on September 10.

The U.S. Department of Commerce’s National Institute of Standards and Technology (NIST) has awarded more than $30 million to Manufacturing Extension Partnership (MEP) Centers in Alabama, Arkansas, Georgia, Louisiana, Massachusetts, Missouri, Montana, Ohio, Pennsylvania, Puerto Rico, Utah, and Vermont. The selected awardees and their funding amounts are: